Tag Archives: Money Management

The Importance of Hiring a Wealth Manager

I can’t tell you how many people come to me who are average, everyday people who don’t even have wills. And they say “I don’t need a will yet. I don’t have an estate issue.” Yeah, well, who’s going to take care of your kids? How are you going to transfer? Make sure that everything is done to your wishes? Do you have a health care proxy? These are all wealth management issues, not investment issues. But they have huge ramifications to whatever you amass during your life.

Marc Lowlicht,
Wealth Management Division Head
Further Lane Asset Management

 For starters, wealth managers are actively involved in their client’s retirement planning. This can mean, among other things, updating and changing your client’s investment profile based on where they are in their life cycle, with older customers being moved into more stable environments. Wealth managers also coordinate with accountants and attorneys. In addition, they help with trust planning, insurance requirements and managing client’s risks.

In terms of nest egg, people need to understand that they need this money to produce income during retirement and this is why even middle-class or lower-class people should consult with financial planners.

A financial planner would immediately start saying: “Wait a minute, the first thing you need is an income. And then we’ll worry about your wealth.” These are things wealth management takes into account that investment management doesn’t.

Wealth management is not only about picking investments and making sure the allocation is consistent with time horizons. Such is especially important now. Because in these days of disappearing pension plans, we are all required to become our own defined benefit plans.


Dear Friends:

Pru Life UK is privileged to have Atty. Danny Chan talk about Wealth Management & Estate Planning on March 29, Sat, 2pm at Room 4 10/F SSHG building, Paseo de Roxas Makati City.

With this, I would like to personally invite you to take hold of this opportunity. Attendees will learn much from this talk and be made aware of the solution to paying their estate tax. The seminar is FREE so I advise you to RSVP as slots are going fast.

For all interested parties, feel free to PM/text/email me. I am looking forward to your attendance.

Kind thoughts,
MissTolentino.com

 

Pru Life UK is one of the leading life insurance companies in the Philippines, with over 15 years of excellence in providing relevant and innovative life insurance products designed to meet the specific needs of the public. The pioneer and expert in investment-linked insurance products, Pru Life UK is driven by its commitment to always listen to and understand the financial protection and wealth management requirements of the Filipino.
Make your money work for you. Pru Life UK is the pioneer and expert in unit-linked or investment-linked products in the Philippines. Unit-linked policies are life insurance products that provide living and death benefits and are ‘linked’ to investment funds. With our investment funds managed by Eastspring Investments Singapore (Limited), take confidence in the experience of one of Asia’s most awarded fund-management companies.

 

 

Reference:
Forbes.com – Why you need a Wealth Manager; David Serchuk (March 25, 2009)

Financially Literacy is Peace of Mind

Financial literacy, unfortunately, is not taught in schools. Unless you took up financial management as a course or grew up with it, then probably you would have an idea of what I’m talking about. Other than that, we are left with the financial examples of our family and friends. And to add to this glaring lack, consumerism and materialism are continuously shoved down our throats every moment of the day making financial literacy a dying age.

With consumerism and materialism, there is this need to keep up with the Joneses. Then before you know it, putting on a fake life follows. But more of that topic on a later issue. Going back…

I am just fortunate that I have learned the value of money early on and what it represents. I have learned that money is only a resource and I want to make sure that I am able to fully utilize this resource for things/experiences/activities that are worthwhile and bring genuine happiness both for me and the people that are important in my life.

I have fully embraced the concept of living below my means. This minimalist approach has been going on for quite a few years now and for the first time in my young adult life have I been able to experience peace both for my finances and future.

On a personal note as well, I have never had this inclination for jealousy or envy most especially when it comes to material things. I was not raised with that kind of mind set. I come from a working class background, and my family always minded our own business. This is why the topic of comparisons was never brought up because everyone mostly, was busy working, doing or creating!

Why the emphasis on financial literacy? It’s because financial literacy is the path to peace of mind. As most of you know, a person who knows how to handle, invest and share their money is set for life.

Financial literacy also means having a budget. Here are the top reasons why a budget is necessary:

Budgets mean you have a plan — a budget frees us to tell our money what to do each month. I have a plan for every peso that I earn. I have lots of dreams for the future and know I will achieve them because I have a plan.

Budgets mean having peace — nothing is more important to me but having peace of mind. Things will happen outside of my budget: family members getting sick, retrenchment, etc. A budget takes the emergency out of these situations. It brings peace into the financial inconveniences of life.

Budgets will change your future — without a plan, you will wander aimlessly. There is this couple I know that is buried deep in debt but refuse to acknowledge their situation, even living above their means, essentially putting on a fake life with it. And you know what they say about marriage, money and debt, right?

Without a budget, couples (and single people) will spend aimlessly with nothing to show for their efforts. A budget puts effort behind dreams.

Budgets help you stay on the same page with your loved ones — I know how much money I have, where it needs to be spent, and what my financial goals are because everything is in black and white. If it’s not in the budget, it doesn’t get spent. If I want to spend money on something, I need to make the necessary financial adjustments and add it to the budget.

Aside from the above, my personal reasons for sticking to my budget and living my lifestyle are:

1.) It allows me to share and give generously
2.) It allows me to spend on quality items (food, clothes, etc.)
3.) It helps me save for my future
4.) I am more in control of my money

Running a tight ship, I call my financial life, has never been more rewarding.

How about you? Are we on the same page, here?